ESG Risk Assessment: An Integrated Conceptual Model with a Multi-Analysis Approach in Indonesian Public Companies

¹ Postgraduate School, Surabaya State University, Indonesia
² School of Computing & Creative Media, University of Technology Sarawak, Malaysia

^* Corresponding author: dwiwijaya@unesa.ac.id

Abstract

The purpose of this research is to create comprehensive ESG risk assessment model by investigating the relation between carbon emissions, industry sectors, and SDG disclosure in Indonesian stock exchange. It is argued that ESG risk assessment should be sector-specific rather than ‘one size fits all’. Businesses are encouraged to concentrate on the full range of SDG reporting and on sector-specific risk management, not simply carbon emission reductions. When crafting ESG frameworks, regulators should observe industry-specific nuances. This study develops a unified framework that integrates contingency theory with fsQCA to improve our understanding of ESG risks formation and propose the risk assessment model in emerging markets.